Presenting Companies

Transcription

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2 Presenting Companies

3 TONIGHT S AGENDA 4:00pm 4:30pm Registration, Hors D oeuvres & Drinks 4:30pm 5:30pm Welcome and Coltivar Presentation 5:40pm/6:10pm/6:40pm Breakout sessions 7:00pm Drawing

4 CAD-1 Virtual Design Construction Tony Crawford Technical Specialist

5 MILWAUKEE TOOL Graceland Room (left) Unlocking the digital jobsite and revolutionizing the way work gets done JOHN PRELLWITZ, Market Manager

6 SIMPRO SOFTWARE Wrigley Field (left) The 3Ps Process, Productivity, Profitability Transform your service, project and maintenance company. KIM GILL MARKETING DIRECTOR

7 XERO ACCOUNTING SOFTWARE Monticello (right) The benefits of getting your accounting off the ground and into the cloud. Derek Nabbefeldt Xero Advisor

8 COLTIVAR CONSULTING Space Needle Room (left) Building the capabilities needed to implement a successful digital strategy and maximize profit STEVE COUGHRAN, Founding Director

9 Emerging Technologies: What you Need to Know to Survive Date: March 2, 2017 Prepared by: Steve Coughran Copyright Not to be distributed or copied without written consent. This presentation or any portion thereof may not be reproduced without the express written consent of Coltivar Group, LLC.

10 Background, Issues, Objective

11 With stagnant or decreasing productivity and an aging industry workforce, companies must act to remain viable. Average Age of Worker in Construction Industry Continuously Increased from 36 years in 1985 to 43 in 2015 Productivity in the Construction Industry has Decreased by CAGR -0.4% AGE DISTRIBUTION % 100% 80% 60% 40% 20% 0% 2% 2% 2% 2% 2% 3% 4% 25% 25% 26% 29% 32% 43 39% 42 40% % 59% % 56% 53% 36 50% 47% 18% 14% 12% 13% 13% 8% 9% AVG AVERAGE AGE (YEARS)

12 With labor costs rising and the labor gap widening, the case for productivity-enhancing technology becomes more pressing. AMERICA IS STILL FACING A HUGE SHORTAGE OF SKILLED CONSTRUCTION CRAFT PROFESSIONALS 21% of skilled workers are 55 years and up 29% of skilled workers are between the ages of % of ABC members report a shortage of qualified craft professionals 1.6 million new skilled workers will be needed between now and Source: Workforce Under Construction, 2013

13 Millennials are the largest generation in the U.S. representing roughly onethird of the total U.S. population. U.S. Population Distribution by Age, 2013 Millions Homeland Generation (2005-Present) Millennials ( ) Generation X ( ) Baby Boomers ( ) Silent Generation ( ) Source: Census Bureau Age

14 The construction industry is among the least digitized. The industry has not embraced new digital technologies, even if long term benefits are significant Spending on technology remains less than 1% of revenues for construction companies Project planning remains uncoordinated between the office and field and is done on paper Profit erosion continues to persist due to paper processes and a lack of real time information Projections are insufficient leading to wild swings in cash flow and high costs of capital Source:

15 Cost and schedule overruns are the norm in the construction industry. Large projects across asset classes typically take: 20% 80% Longer to complete Over budget Source:

16 Profit Erosion Each element in the waterfall represents a profit leak

17 Companies that can reinvent themselves to attract the right people with the right capabilities will be the future winners, all others beware. Objective: Dare to be bold by developing an innovative mindset to lead your team into the future.

18 Proposed Changes

19 Five emerging trends that will reshape the construction industry. Large projects across asset classes typically take: 1. Rapid digital mapping and estimating 2. 5-D Building information modeling 5. Enhanced design and construction techniques 3. Cloud based platforms & digital mobility 4. Advanced analytics and sensors

20 By designing and implementing a digital strategy, companies will deliver and capture greater value.

21 Key Questions to be Answered

22 How much will it cost us if we do not adopt a digital strategy and adapt? If we keep doing what we are doing, will we remain competitive in the future? Is our investment in the core value drivers (Coltivar 6 P s) sufficient to prepare us against future economic storms?

23 Will our technology investment support the lean principles of minimizing waste and maximizing value? Be Profitable Be Unique Be Efficient Be Predictive To Reduce Fee Erosion To Enhance Processes & Customer Experience To Reduce Cost Structure To Capture Real-time Data

24 Is the ROI sufficient in the following quadrants to justify the investment of a new technology? More efficient allocation of resources to strengthen capabilities Better operating models supported by faster decision making and lower cost structures How tech is transforming companies Stronger workforce engagement and talent management Enhanced value creation through increased cash flow and profit maximization

25 Do we have a digital solution in the following areas to deliver a seamless, real-time experience to our stakeholders? Design Scheduling Time and employee tracking Inventory management Access drawings and 3-D models on-site through mobile devices Make real-time updates to plans in the field Organize schedules in real-time Track performance online Provide immediate schedule updates to all workers Collaborate with subcontractors through mobile notifications Track employee hours in real-time Monitor employee location and provide immediate updates Enhance safety and health through wearables and other sensors Monitor purchase orders and track materials across the entire supply chain Manage inventory in real-time to avoid shrinkage and stock-outs Contract management Quality control Accounting and financial reporting Document management Manage change documents and maintain records of authorizations Update and track the compliance of contract terms Mitigate risk by maintaining digital document retention Track inspections in real-time by making field markups, annotations, and saving photos to the cloud Update and track punch list items immediately Monitor financial performance across divisions, projects, and teams Predict cash flow and working capital requirements Provide real-time reporting Upload current versions of documents for distribution across all channels Maintain a digital plan room Allow universal access and project search functions

26 Action Steps

27 When considering a digital strategy, think big, start small, and act quickly. 01. Evaluate size of opportunity How much additional revenue can be generated or how much can the company save in costs through a digital strategy? 02. Identify the top use cases for improvements What areas of the business could benefit from technology (e.g. design, accounting, scheduling, production, document management, etc.)? 03. Assess resources, capabilities, and value drivers How do these strategic building blocks stack up against the competition? How can technology strengthen the firm s competitive advantage? 04. Create a vision and examine implications What is the future ideal state of the company? What are the risks if the company fails to act? What are the strategic rewards of achieving its vision? 05. Build a team and enable a culture of discovery Who is leading the technology agenda and what is their capacity? What needs to change in the leadership style and reward system to encourage experimentation and continuous learning?

28 Organizational change should occur strategically to mitigate confusion, chaos, and disruption to the business.

29 Emerging Technologies: What you Need to Know to Survive Q&A Date: March 2, 2017 Prepared by: Steve Coughran Copyright Not to be distributed or copied without written consent. This presentation or any portion thereof may not be reproduced without the express written consent of Coltivar Group, LLC. Photo by: Clem Onojeghuo